The acquisition will strengthen Givaudan’s foothold in the growing natural flavors sector and move it into a leading position in natural extracts and ingredients market, which is predicted to grow as consumers make the shift from synthetic food ingredients to natural, clean label alternatives.
In the first step of the transaction, Givaudan will acquire 40.6 percent of Naturex’s shares at €135 per share. Following the acquisition, Givaudan will launch a mandatory cash tender offer for all remaining outstanding shares of Naturex for the same price per share.
Naturex, which had €404.9 million in sales in 2017, develops a range of natural ingredients derived from plant extracts and operates 16 production sites throughout Europe, North America, South America and Asia. Givaudan, which creates flavors and fragrances for the food, beverage and fragrance industry, had sales of 5.1 billion Swiss francs in 2017.
Commenting on the acquisition: Olivier Rigaud, CEO of Naturex, said: “This combination is supported by a strong strategic rationale with an ambition to become the leader in natural ingredients. We are proud to become part of Givaudan and leverage the complementary capabilities for our customers.”